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Home Based Business Insurance
Starting a small business to “be your own boss” can be a great and life-changing decision. One of the first considerations in such an undertaking is choosing the location for your new business. Some people decide to begin by running their business out of their home, and with this decision several unique factors can come into play. You may consider consulting a Coye Law Firm
| "Always check with your current policies to fully understand the details of the policies you already have..." |
Types of Insurance Available
Several variations of homeowners and business insurances exist. Always check with your current policies to fully understand the details of the policies you already have. Some of the coverage may overlap, but some coverage may be insufficient and cause gaps between your insurance policies which leave you, your home, or your business unprotected. Be sure to read through to check for exclusions stated in the policy, as well as coverage. If you are thinking about starting a business in your home, don’t hesitate to contact an attorney at the Coye Law Firm if you feel you could benefit from legal assistance, but here are some insurance details from the Insurance Information Institute you may wish to consider.
Homeowners Policy Endorsements:
- Business equipment: It is standard for homeowners insurance policies to limit their coverage on business equipment located at your residence. This may include your computer, machinery, and equipment related to your industry. If your equipment replacement costs exceed the coverage of your current policy, you might want to look into a homeowners policy endorsement which increases that coverage.
- Liability: If a delivery person or client injures themselves, such as a slip-and-fall, on your property, they may be entitled to reclaim damages from you for their related expenses. You may also look into whether or not your current homeowners or auto policies covers your business travel. It might be possible to add a simple liability endorsement to your homeowners or auto policy to increase coverage and protect yourself.
In-Home Business Policy:
You may find that the increased coverage offered by the endorsements does not meet your needs. If this is the case, some insurance companies may offer a more extended policy with fuller coverage. These types of policies can be more extensive in the equipment and liability coverage offered, as well as include protection for off-site records and business property. They may also provide compensation for business interruption if your home is damaged by a catastrophic event, such as a fire or flood.
Business Owners Policy:
This type of coverage is best if your business is operating out of more than one location, or if your insurance needs become more complicated because of employees, business automobiles, increased business investments, or specialized equipment. These policies do not include health, workers compensation, or disability insurances which all need to be purchased separately.
An experienced insurance attorney may not only be able to help you make the right decisions about which type of insurance meets your needs, but may also be able to assist you in having the policies enacted or changed, and in navigating the claims process if you ever need to place a claim. The Coye Law Firm provides this insurance assistance for our clients.
Other Insurance to Consider
A small business is not only affected by the insurance which covers the buildings and business property, but also the insurance which provides coverage for the people who work for it. This means you! Some additional important insurance coverage include:
Health Insurance:
If you are self-employed you will find you still have the same needs as someone employed by a larger company, including health insurance for yourself and your family. State statute 627. 6487 entitles Floridians to purchase individual insurance plans. Visit the Florida Office of Insurance Regulation, HealthCare.gov, and healthinsurance.org to learn more.
Disability Insurance:
If you are your only employee, you may want to consider disability insurance which can help cover expenses in the event of an unexpected accident, injury, or disability which prevent you from working. You may want to visit the Florida Department of Financial Services Insurance Library for more information.
Workers Compensation Insurance:
If you are the proprietor of a small business and have at least 4 full-time employees including yourself, or are in the construction industry with any employees at all, you are required by state law to carry workers compensation insurance. Because of the especially important nature of this insurance coverage, you may choose to seek legal assistance from an insurance lawyer to make sure your business is protected.
Legal Assistance
Insurance can be confusing for many people, and the invaluable input from an experienced attorney can ease the process of difficult insurance decisions. When considering whether or not to open your own small business, insurance should not be the deciding factor, but it is an aspect of your company which you should not overlook. The insurance attorneys at the Coye Law Firm are dedicated to understanding insurance law in all its aspects and can help you make decisions about your coverage and settle disputes in insurance claims. Contact an attorney at the Coye Law Firm for an evaluation of your situation with home and business insurance.